Effective October 1, 2013, the Postal Service™ will revise Handbook F-1, Accounting and Reporting Policy, to reflect an increase in the capital threshold amount for property and equipment.
Handbook F-1, Accounting and Reporting Policy
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3 Assets
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3-6 Property and Equipment
[Revise the text to read as follows:]
Property and equipment must be safeguarded against theft, loss, and misuse. The Postal Service must conduct physical inventories of capital property and equipment items on a recurring basis.
Equipment items which have a service life of more than one year and with an acquisition cost of $10,000 or over and leasehold improvements of $10,000 or over are deemed to be “capital” items and must be recorded as an asset on the general ledger and subject to annual inventory procedures.
All building and land additions, equal to or greater than $10,000, are capitalized and recorded as assets on the general ledger.
The Postal Service expenses equipment purchased for purposes of research and development at the time of acquisition.
Capital property and equipment authorization authority is specified in Handbook F-66, General Investment Policies and Procedures.
Facilities Service Offices (FSOs) are responsible for notifying Finance on a timely basis for the acquisition and disposal of buildings, land, and leasehold improvements.
Equipment items with an acquisition cost of under $10,000 and leasehold improvements under $10,000 are deemed to be “non-capital” items and are expensed when acquired. Non-capital items must be safeguarded but are not subject to annual inventory procedures.
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We will incorporate these revisions into the next online edition of Handbook F-1, Accounting and Reporting Policy, on the Postal Service PolicyNet website:
n Go to http://blue.usps.gov.
n In the left-hand column, under “Essential Links,” click PolicyNet.
n Click HBKs.
(The direct URL for the Postal Service PolicyNet website is http://blue.usps.gov/cpim.)
— Assets and Payables,
Controller, 9-5-13
